Download THE CODE, Oregon Real Estate Exam (PSI) Questions and more Exams Nursing in PDF only on Docsity!
Questions
The buyer asks if there are any sex offenders in the neighborhood. The agent's MOST appropriate response would be to: - correct answers ✅give the buyer the website address so the buyer can look up that information A developer intends to subdivide a large parcel of land and is in the process of land planning. He has determined the geographic boundaries of the individual lots and how the streets as the development will be signed to give access to each lot, when can he begin to list this property? - correct answers ✅When he has submitted his plat map to local authorities, received approval, and recorded it The lead paint addendum that must be presented with the purchase and sales contract for certain older homes will: - correct answers ✅provide the buyer with the opportunity to wave the right to a lead paint inspection. Market price is: - correct answers ✅What the property sells for The most listing contracts, a broker who has brought a ready, willing, and able buyer to a seller who agrees to the terms of a sales contract: - correct answers ✅Does not earn money unless the sales closes.
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A motel is the subject of an appraisal and it is determined that a rerouting of a country highway has limited customer access to the motel. This is an example of: - correct answers ✅economic obsolescence An owner signed a contract to sell an apartment building. Just before closing, the owner informed the buyers that she had changed her mind and would NOT sell the property. A lawsuit filed by the buyers would be for: - correct answers ✅Specific Performance Quality Supermarkets has taken occupancy of a retail building and has a long term lease. As part of the their fit- up, they bolt to the floor their meat and dairy coolers, and shelves. When Quality Supermarket vacates the property at the end of the lease, will Quality Supermarkets be legally entitled to remove these fixtures? - correct answers ✅Yes, if removed prior to the end of the lease A seller has listed a home with a broker for $112,000. The seller is leaving for a 45 day cruise midway through the listing period, and authorizes the broker through a power of attorney to accept any offer of all cash at a price $100,000 or more. Broker receives a cash offer for
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Which of the following is among the typical responsibilities of a residential property manager? - correct answers ✅Selecting tenants to provide a diverse enviroment Which of the following property valuation estimates or reports would have to be prepared by a licensed or certified appraiser? - correct answers ✅Reconciliation report for a FHA loan Which of the following statements in an advertisement would be an example of a non-discriminatory language under HUD's Fair Housing Advertising Guidelines? - correct answers ✅Female seeking female roomate Which of the following statements is true regarding an option agreement? - correct answers ✅Seller agrees to sell at fixed price within a stipulated time Zoning ordinances are typically established by: - correct answers ✅town and city governments In a jurisdiction where a seller's property condition disclosure is required, the licensee is responsible for - correct answers ✅ensuring that the buyer receives the property disclosure before the contract is finalized
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The clause designed to ensure that a broker will receive a commission if negotiation with a - correct answers ✅ready, willing, and able buyer are completed after the listing has expired is called extension or "tail" clause When will an agent earn commission? - correct answers ✅when a will, ready and able buyer is found A complete historical summary of all recorded documents affecting the title of a property is known as - correct answers ✅abstract of title Which if the following are MOST likely to be addressed by building codes? - correct answers ✅building codes What should buyers insert into their purchase offer to make sure they would NOT have to go through the purchase if they CANNOT obtain the necessary financing?
- correct answers ✅Escape Clause A lender requested that the entire loan balance be paid immediately because the property on which the loan was
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A sales licensee is working with a minority couple to find a home for them. The licensee is only showing the buyers homes in minority neighborhoods. The licensee is guilty of: - correct answers ✅steering A buyer's agent is working with a couple who have decided on a particular property. They are concerned about the boundaries as it appears the fence from a neighboring property encroaches. The buyer's agent should: - correct answers ✅recommend the buyers get a survey An important function of zoning law is to: - correct answers ✅Ensure conforming land use. If a sales associate is an independent contractor - correct answers ✅the IRS can require the withholding of income tax. A national company desires a parcel of land which must be 4 times the size of its proposed building. If the building design includes 20,000 square feet, then which of the following would be the minimum to purchase? - correct answers ✅2 acres
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Which of the following types of deeds provides the purchaser of real estate the greatest protection? - correct answers ✅General Warranty Deed Which of the following is the BEST example of the protection offered by Fair Housing laws to a person with a disability? - correct answers ✅A person who is blind and uses a seeing eye dog must be allowed to rent in a building that does not allow pets. The buyers wrote the offer contingent upon their ability to obtain financing. What is the MOST likely scenario in the event of the bank denying their loan? - correct answers ✅The buyer will receive the earnest money back as the contract became void when the contingency failed to be satisfied. A broker has signed a listing contract for the sale of a home. Which of the following could make this contract voidable? - correct answers ✅The seller is heavily under the influence of alcohol at the time of signing. Building codes are: - correct answers ✅ordinances that specify construction standards
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A low loan-to-value ratio indicated a - correct answers ✅higher equity in property An offer was presented but the seller did not accept the offer; instead he suggested different terms that would be more acceptable. Which of the following is false? - correct answers ✅This is a negotiation that keeps the original offer alive. A licensee representing a landlord is concerned when a prospective tenant mentions that she has recently left her homeland to work as a research consultant under a grant at a local hospital, and hopes to return to her native country with valuable knowledge to share when the project ends. What steps, if any, is the licensee legally able to take in protecting her client's interest? - correct answers ✅Under no circumstances may the licensee inquire as to the legal residency status of the prospective tenant. Which of the following statements is the BEST example of puffing? - correct answers ✅this is the best buy you'll find all year A licensee listed a property that had an unfinished garage. The licensee received an offer subject to the garage being finished. Was a contractual obligation
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created? - correct answers ✅No, because the seller has not accepted the offer In a mortgage/trust deed form of loan, the terms of payment and interest rate would be found on the - correct answers ✅Promissory note A real estate licensee representing a buyer may do all of the following EXCEPT - correct answers ✅disclose the highest price the buyer is willing to pay. In general, option contracts - correct answers ✅must be in writing Which of the following methods for establishing value is generally considered MOST useful for a special-purpose building such as a church? - correct answers ✅cost The purchase and sales agreement provides for release of earnest money to the seller after the buyer's property inspection. The seller requests the earnest money prior to the property inspection. The broker should - correct answers ✅Release the earnest money on the buyer's verbal approval
Questions
A real estate licensee is assisting her buyer client in determining the feasibility of purchasing a restaurant that was built in 1965, and observes that the flooring is a checkerboard pattern of black and cream colored 9 by 9 tiles, worn but not broken or cracked. Which of the following would be the most appropriate action for the licensee to take? - correct answers ✅Advise the buyer that the floor tile very likely contains asbestos, and that an expert should be consulted about whether to test it and options for dealing with it A lender may add 1/12th of the estimated cost of the annual property taxes and hazard insurance on the mortgaged property to the loan through a - correct answers ✅An impound, escrow or reserve account A tax against a specific property resulting from a public improvement that benefits that property is known as - correct answers ✅special assessment Two unmarried people purchased a property together with unequal interests in the property. Which statement is true? - correct answers ✅Either owner may sell her interest without permission of the other owner
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A seller has given a counteroffer to the buyer. If the seller receives a second offer for a higher price that means that the seller can - correct answers ✅Revoke the counteroffer to the first buyer Real Estate taxes that are paid in advance are prorated on the closing statement as - correct answers ✅debit the buyer credit the seller Which of the following is least likely to be considered in establishing the value of a property by the sales comparison approach? - correct answers ✅capitalization rate What is required to establish mutual assent? - correct answers ✅meeting of the minds The railroad tracks near a property are being moved closer to the development where a client is buying home. This fact - correct answers ✅Must be disclosed because the change is likely to create significant noise and air pollution hazards In a jurisdiction where the common law of agency governs real estate activities, a broker has a single agency relationship with his buyer. They pass "For Sale by
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The sellers accept an offer that is subject to the sale of the buyer's present home. To avoid waiting around forever, they can insist that - correct answers ✅a contingency for buyer's financing A completed historical summary of all recorded documents affecting the title of a property is known as - correct answers ✅abstract of a title A property was listed with a broker, but the owners advertising the property found a buyer and negotiated the same themselves------ commission still goes to the broker. The broker MUST have had - correct answers ✅an exclusive right to sell During a broker meeting, a broker states that a competitor is NOT charging enough commission. The other brokers should - correct answers ✅remove themselves The heir to a large estate will be of legal age within 30 days. He lists for sale with a broker one of the properties property and sells it within 24 hours of listing, with closing to be in 45 days. Both listing and sale contracts are --- - correct answers ✅executed
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A Seller's Property Disclosure form states that there are no known material defects with the property, the licensee finds asbestos the basement. The licensee should - correct answers ✅disclose the existence of asbestos to all potential buyers Neighbors Sam and Molly share the use of Sam's driveway, which is entirely on Sam's property. Sam does not like the new owner. Sam should provide Molly with an
- correct answers ✅Easement A broker lists a property stating that it is offered "as is." This broker still MUST disclose which - correct answers ✅Existence of a leaking oil tank A seller's property disclosure form states that there are no known material defects with the property, but the listing licensee is aware of asbestos wrapped in duct pipes in the basement. The licensee should - correct answers ✅Disclose the existence of asbestos to all potential buyers It's sellers agent is contacted by a potential buyer who's financial status is questionable. When asked to write an offer, the agent should - correct answers ✅relay any reservations to the seller
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office - correct answers ✅Whether or not the HUD equal housing opportunity poster is displayed in the office The owner of a home with no liens obtained a home equity loan of $75,000, secured by his home. Several months later, he borrowed $15,000 and then $13,000, each loan secured by a lien against his home. He done lost his job and failed to pay his past due property taxes of $7,500. His loan went into default and his home was for clothes. Assuming that the liens for all three homes are recorded in timely manner, what is the order of the pay off to the lien holders? - correct answers ✅$7500, $75,000, $15,000, $13, What term is used when a seller is in default and is allowed to pay off a mortgage before the foreclosure sale? - correct answers ✅foreclosure avoidance Prospective buyers tell their broker they plan to add a sun porch to the side of an existing house. Before making an offer, you MUST check local regulations on: - correct answers ✅setbacks A broker maintains a Property Management Trust (Escrow) Account which has the clients' funds in it. The broker has negative $1,000 balance in it whereas client Jones has
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$2,000 balance in his account. - correct answers ✅this is a violation of real estate license laws The city wishes to purchase a parcel of property to be used as a cloverleaf for access to the nearby Interstate by the property, the city will initiate a process of - correct answers ✅condemnation In order for a broker to avoid commingling, the broker MUST maintain the funds of others in a - correct answers ✅trust account Which of the following is NOT a characteristic of negative amortization? - correct answers ✅it occurs in every interest only loan How many consecutive years of non-use of water does one lose their water rights in Oregon? - correct answers ✅5 consecutive years, the right is considered forfeited Who must register the business name? - correct answers ✅Principal Broker, must register the business name with REA-(Real Estate Agency) under their name.
